Tax Compliance
Seanad Éireann — 2021-04-30
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Michael McDowell (IND), National University of Ireland

I thank the Minister of State for his reply. Perhaps the terms in which the matter was phrased were not specifically accurate enough to highlight the problem that I was speaking about.
I note that he said that there is not a problem in theory with a child of a likely disponer taking out a life assurance policy providing he or she can show an insurable interest but there is this difficulty of to whom the proceeds of that policy are paid. If they are paid to the inheritor, there are issues as to whether they form part of the estate and whether they can be separately made liable for taxation.
The second point that I raise with the Minister of State is that were it possible for a section 72 insurance policy to be funded - it was made clear that it can be funded by a person who expects to inherit - without in any way vitiating the policy and without having to show insurable interest or whatever, it would be an evening up between the have-nots and the haves who can avail of section 72.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/seanad/2021-04-30/debate/main
Retrieved: 2026-08-14T04:49:13+00:00
Sitting date: 2021-04-30